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Abstract
The purpose of this study is to analyse the effects of brand credibility and perceived quality on consumers' evaluation of brand alliance. This goal has been followed by examining the impact of constituent brands credibility on co-brand overall credibility, effect of perceived quality of the constituent brands on co-branded product perceived quality and constituent brands credibility and perceived quality on perceived price and purchase intention of cobranded product as the hypotheses of the study. This study can be considered as an applied research from purpose perspective and descriptive-survey with regards to the nature and method (type of correlation). Respondents to the questionnaire were shoppers at one of branches of Refah chain stores in Isfahan city which randomly selected. The study indentified that credibility of constituent brands (i.e., brand A and brand B the allied brands) positively affect co-brand credibility, cobranded product perceived price and purchase intention. Results also show that perceived quality of constituent brands affect cobranded product perceived quality and perceived price. Furthermore, only perceived quality of one of constituent brands (brand B) has positive influence on cobranded product purchase intention whereas the perceived quality of the other brand (brand B) has no effect.
Highlights
Background of ResearchBaek and king (2011) in a study, "Exploring the consequences of brand credibility in services", attempt to investigate whether the framework of brand credibility effects can be applied to service categories
The study indentified that credibility of constituent brands positively affect co-brand credibility, cobranded product perceived price and purchase intention
The results indicate that the extent to which brand credibility affect purchase intention differs between utilitarian and hedonic services
Summary
Baek and king (2011) in a study, "Exploring the consequences of brand credibility in services", attempt to investigate whether the framework of brand credibility effects can be applied to service categories. They examine whether brand credibility has the equal effect between different types of service and involvement level brand. Results of the study show that, brand credibility has a strong impact on purchase intention through an increase in perceived quality, perceived value for money, and information costs saved, and through a decrease in perceived risk across multiple service categories. The results indicate that the extent to which brand credibility affect purchase intention differs between utilitarian and hedonic services. The findings of comparison indicate that there are no significant differences between co-branding and brand extensions in terms of consumer evaluations of an identical product
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